Most people know that Realtor commissions can be credited for any and all closing costs. The costs include all nonrecurring fees (title, escrow, appraisal, etc.), and recurring costs such as interest, property taxes and even transfer taxes.
Realtors can also apply their commissions to a buyer’s down payment if the Realtor formally “gifts” the funds to the buyer. The buyer would technically need to be a relative of the Realtor, but lenders are pretty flexible with aunts gifting to nephews and cousins gifting to cousins; lenders do not make donors prove they are actual relatives.
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